Xi Jinping's five-year plan and the new challenges for European exports

The Beijing Plan traces the development goals in line with the latest events which have shaken the global economy and which will change the geopolitical balance in the years to come. In a context where the globalization is proving fragile and technological competition fierce, Xi Jinping has already given a precise orientation to his future political line.

The cornerstone of the Plan concerns the "Dual Circulation" through which China will step up e it will encourage home economics in the same way, if not more, of international tradeespecially in some sectors. Technological innovation was put to center of discussion: the Chinese manufacturing industry will focus on it to increase the quality of products e achieve independence in some areas. 

The discussions on the Plan they come at a time of great tension with the United States and during a health crisis that has had a huge impact on the global supply chain. For this the five-year planning will have to be flexible enough to respond to the rapid changes that the whole world is facing. 

One figure that stands out, however, is certainly that relating to GDP growth of China: indeed it is the first major world economy to record a positive growth ratedespite the global pandemic. 

European companies already present in China they seem to confirm, currently, their trust in the Asian giant. From the 4th Position Paper of the European Chamber of Commerce, which monitored 600 leading companies in the financial economic sector in the Chinese market, in fact emerges that the 88% of companies already active in the country has no future investment plans elsewhere nor is he thinking about a reshoring, and that the 38% of large companies is already planning further investments.  

Different scenario for European SMEs, who have suffered a major setback due to Covid, of excessive quarantine policies and some travel restrictions which still prevent the European representations from returning to China, damaging investor confidence towards the market. 

In this context it will therefore be necessary for small and medium-sized enterprises, both those already present and those intending to approach the Chinese market for the first time, develop a real long-term strategy that can take all these changes into account.